On Wednesday, Amazon India said that it recorded its biggest ever day in terms of sales and that the massive opening was driven by categories such as smartphones and large appliances.
E-commerce companies in the country are estimated to have clocked sales worth Dollars 1.5 billion (Rs 11,085 crore) in less than three days of festive sale with both Flipkart and Amazon India claiming to be leading the tally. Flipkart is now betting big to tap the festive season through its "The Big Billion Days" (TBBD) sale.
"Amazon remains the most visited, most transacted, most trusted online marketplace in India". Amazon's Great Indian Festival started on 10 October and ends on 15 October. It said the sales during the first 26 hours had already matched that of its five-day sale a year ago. If Flipkart's claims are accurate, it would indicate that the company has already generated ₹ 5,000-5,500 crore of sales during the first two days.
But with a business point of view, it would be interesting to see how the reality of this race pans out between Amazon and Flipkart, and how much the claims made by the native etailer turn out to be true and fruitful for the company and the industry in the longer run.
According to RedSeer Consulting, e-commerce companies in India have achieved United States dollars 1.5 billion in the first 2.5 days of the festive sale - led by sale of 4.6 million units of smartphones (translating into USD 800 million), large appliances (USD 170 million) and fashion (USD 120 million).
It added that the industry is on track to reach the Dollars 3 billion-mark - twice that of a year ago - by the end of the five-day festive period.
India's e-commerce sales is expected to grow at a 30% compounded annual growth rate through FY 2027 and touch $200 billion of gross merchandise value, according to financial services firm Morgan Stanley.
One of India's highest selling smartphone brands, Xiaomi announced that it has sold over 2.5 million Xiaomi devices in less than two and a half days, thanks to the on-going festive season sales.
Indian online retailer Flipkart, owned by Walmart Inc, expects bumper sales during the annual festive season that just kicked off, as it boasts that US rival Amazon Inc is losing relevance in India.
Company executives said Flipkart's deeper push into India's small towns and cities, its range of cheap, high-quality private label products and the wide assortment of smartphones will boost its sales during this year's event. This year, our beauty products business has done extremely well.
It also sold one laptop every minute, 4X of what India sells in a day, and 500 global branded perfumes were sold every minute, up from 100 a day during non-TBBD business, according to the company. "We've sold 500 perfumes per minute throughout the sale so far", said Smrithi Ravichandran, senior director at Flipkart.